If I uncheck "drop shadow" then the fuzzy lightblue rectangle disappears, and left is a rectangle showing the image boundaries. But te image itself is not visible. "Bring to front" makes no difference.

That linked article was mentioning several ways to add an image to a Title. Which method were you using?

For the description of the problem, it sounds like you were trying to add the image to a Text box, and that there was a Style applied to the text in that box. What happens if you do not add the image to a Text box, but just to the Title? Remember, that was just a guess.

With a test Title, I did exactly as you typed, and used a PNG (has Transparency), and it worked exactly as it should. I Scaled it (with Shift to Constrain Proportions) and Rotated it 90 degrees. Nothing out of the ordinary, or from what I expected.

This particular test Title already had a graphic Shape, plus Text, and the Image was placed on top of that stack.

Not sure what is happening in your case. Can you post a screen-cap of the Titler screen to show us what you are seeing?

Now, let's say that you wish to have a logo, bug, etc. to appear over the Aquarium Title, just do a blank Title and use that image in it. Place that second Title on a higher Video Track (above the Aquarium Title), and it will appear in the Video, just as if it was added to the Aquarium Title.